KUALA LUMPUR: MRCB-Quill Real Estate Investment Trust (REIT) (formerly Quill Capita Trust
) (MQReit) recorded a net profit of RM13.632mil for the second quarter (Q2) ended June 30, 2015, a 59.2% jump from a year earlier due to recognition of the full-quarter income contribution from Platinum Sentral.
This was achieved on an 85.4% growth in revenue to RM32.175mil, attributed mainly to additional revenue arising from the RM740mil acquisition of Platinum Sentral in Kuala Lumpur on March 30, higher revenue from Plaza Mont’Kiara as well as rental rate increases for some properties.
Net property income soared 81.4% year-on-year to RM24.313mil for the quarter under review. However, total expenditure more than doubled, resulting in the lower realised net income growth of 59.2%.
Finance costs of RM8.19mil and manager’s fee of RM2.1mil were incurred during the quarter, compared with RM3.57mil and RM1.35mil respectively in Q2 last year.
MRCB Quill Management Sdn Bhd, the manager of MRCB-Quill REIT, attributed the larger finance costs mainly to interest on additional borrowings drawndown on March 30.
It also noted that property operating expenses were higher by 98.9% due to the purchase of Platinum Sentral and higher repair and maintenance expenses for Plaza Mont’Kiara.
MQReit has an income distribution policy of at least 90% of its distributable income at least semi-annually, but the percentage and interval are at the discretion of the manager.
MQReit is proposing an interim income distribution of RM14.683mil or 2.22 sen per unit, being 95.33% of the realised income for the period from March 24 to June 30, 2015. It is payable on Aug 28.
Combined with the interim dividend per unit of 1.88 sen for the Jan 1 to March 23 period, it is delivering a distribution per unit (DPU) of 4.10 sen for the first half-year - the same DPU as the corresponding period last year.
MQReit owns 11 buildings comprising five in Cyberjaya, three in Kuala Lumpur, one each in Shah Alam and Petaling Jaya, and one in Penang, valued at RM1.588bil as at March 31.